When many people think about foreclosure or a home going up for auction, they may picture homes abandoned or on the lower end of the real estate scale. However, home foreclosure can happen to anyone and affects every income level. Recently, it was announced that the Florida mansion once belonging to famed fashion designer Gianni Versace will be up for auction.
The mansion is a well known site namely due to the fact that is the location of the fashion icon’s murder. The opulent house is set to see auction in mid-September. The current owner has fought foreclosure action by another entity, the Nakash family. According to filings pertaining to bankruptcy, the mortgage for the home is listed as $30 million.
In order to be eligible to bid on the mansion, bidders much file $3 million in escrow with the law firm of the current home owner. The bidders also must prove they have $40 million at their disposal. The property was most recently listed for $75 million.
While the fate of the mansion is sure to make news, many Florida homeowners face the possibility of home foreclosure and possible auction due to the recent recession. Anyone who currently faces the same issues as seen with ownership of the Versace mansion may want to fully understand how home foreclosure works and how their credit may be affected. Professionals in the field can help struggling homeowners understand their rights and also help them stay current on changing regulations, modification opportunities or other options that could help them avoid foreclosure.
Source: bizjournals.com, “Bankruptcy auction approved for former Versace mansion,” Paul Brinkmann, July 16, 2013